Expects 2000 Will be its Ninth Consecutive Year of Sales and Earnings Growth

BUFFALO, NEW YORK (October 18, 2000) – Gibraltar (Nasdaq: ROCK) today reported its best-ever third quarter sales and earnings for the quarter ended September 30, 2000. The Company also said it expects that 2000 will be its ninth consecutive year of record sales and earnings.

Sales in the third quarter of 2000 were $178.3 million, an increase of 9.5 percent from $162.9 million in the third quarter of 1999. Sales in the first nine months of 2000 were $527.5 million, up 13 percent from $467 million in the first nine months of 1999.

Net income in the third quarter of 2000 was $7.2 million, or $.57 per diluted share, compared to $7.2 million, or $.56 per diluted share, in the third quarter of 1999. For the first nine months of the year, net income grew by 8.5 percent to $21.1 million, or $1.66 per diluted share, compared to $19.5 million, or $1.52 per diluted share, in the first nine months of 1999. There were slightly fewer diluted shares outstanding on September 30, 2000, than in the prior-year periods.

“While many of the companies in our sector reduced their third quarter sales and earnings forecasts, some substantially, we continued to generate top and bottom line growth. We have done that by steadily investing in our existing businesses and making accretive acquisitions. We have also taken steps to expand and diversify our customer base (from 900 in 1993 to 10,000 today), expand into higher-margin businesses (building products and heat treating), and move into many of the nation’s fastest-growing steel-consuming and geographic markets. This has put us in an excellent position to mitigate the effect of changing economic conditions,” said Mr. Lipke.

“In spite of a slowdown in the economy, we expect to generate top and bottom line growth in 2000 and beyond. Our July 17 acquisition of Milcor expanded our sales by approximately $50 million and gives us annualized revenue of approximately $750 million. Together with the many other steps we’ve taken to grow our business – and a number of additional strategic growth opportunities – we are well on our way to reaching our goals of $1 billion in sales and $45 million in net income by 2003 or sooner,” said Mr. Lipke.

“The changing business climate underscores the importance of the steps we are taking to expand, diversify, and strengthen our company. To that end, we are actively evaluating a number of growth initiatives (both internal and external) and we are looking to control and reduce our costs. We’ve built a company capable of generating consistent sales and earnings growth, and we continue to focus on improving our returns (ROA, ROE, and ROI),” said Mr. Lipke.

“We continue to make progress with our many eBusiness initiatives,” said Mr. Lipke. “Phase one of our Intranet site is now up and running. The Web site for our strapping products (www.gibraltarstrapping.com) is also on line, and FerrousExchange (www.ferrousexchange.com) – an Internet-based global marketplace to buy and sell steel products, with whom we have a strategic alliance – is now live. Throughout our company, we have a number of eBusiness projects underway to help us lower our costs, increase our sales, and reach our customers more efficiently.

“Since our Initial Public Offering in 1993, we have generated steady sales and net income growth. As our track record clearly shows, we react quickly to changing and challenging conditions in the market, and we take steps to overcome them. Since our company today is stronger than ever, we fully expect to build on this record of achievement and success,” said Mr. Lipke

Gibraltar is a growth-oriented company, with expanding operations in the building and construction products, metal processing, and commercial heat-treating markets. The Company serves approximately 10,000 customers in a variety of industries. It has approximately 3,700 employees and operates 52 facilities in 19 states and Mexico.

Information contained in this release, other than historical information, should be considered forward-looking, and may be subject to a number of risk factors, including: the impact of changing steel prices on the Company’s results of operations; changing demand for the Company’s products; risks associated with the integration of acquisitions; and changes in interest or tax rates.